Saudi stocks outperform on firm oil

Dubai : Saudi Arabia’s equities index firmed yesterday because of strong oil prices while Qatar fell to its lowest close since January 2016 after index compiler FTSE’s mid-year review hurt some stocks. 

Brent oil was around $53.50 a barrel, slightly above its level when the Saudi market traded on Tuesday last week, just before it closed for long Eid al-Adha holidays.

All but two of the 14 listed Saudi petrochemical producers rose as the market reopened on Wednesday with Rabigh Refining and Petrochemical adding 1.9 per cent. The main Saudi stock index rose 0.7pc.

The Doha index lost 1.3pc to 8,685 points on its first day of trade after a one-week closure for Eid holidays.

Qatar Gas Transport (Nakilat) dropped 2.9pc after FTSE said it would move the company to its mid-cap index from its large-cap index, effective from Sept. 15.

Industrial conglomerate Aamal slumped 4.4pc, Qatari Investors Group fell 1.8pc and Qatar Navigation lost 0.2pc after FTSE said it would delete all three stocks from its all-world index.

In the United Arab Emirates, FTSE decided to remove Abu Dhabi’s Union National Bank from its global equity index. Its shares did not trade on Wednesday but the Abu Dhabi index fell 0.5pc.

Dana Gas, the most heavily traded stock in Abu Dhabi, fell as much as 3.9pc on profit-taking before closing flat. Dana had soared 20pc over the previous two days on news of a deal for it to obtain overdue payments from Iraqi Kurdistan.

Dubai’s index rose 0.5pc as the largest listed real estate developer, Emaar Properties, gained 2.3pc.

Egypt’s index lost 0.7pc as stocks favoured by foreign investors were among the worst performers, including Commercial International Bank, which fell 2.3pc.

Qalaa Holdings slumped 1.6pc after FTSE said it would exclude the stock from its AllCap index.